The Gamma of a Cash-Or-Nothing Binary Call Option and the Theta

question 9

Multiple Choice

The gamma of a cash-or-nothing binary call option and the theta of such an option

• A)is always positive;is always negative.
• B)is always positive;can be positive or negative.
• C)can be positive or negative;is always negative.
• D)can be positive or negative;can be positive or negative.

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